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back up to cloud extremely slow

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Backing up only 1 GB takes several hours - is that normal? A back up to USB drive seems to be normal (several minutes). Is this a Win 8 issue?

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What is your internet upstream speed?

8-10 MBps.

a simple back up of the 40 GB C drive to the cloud is expected to last 7 days and 20 hrs.

Here is a calculator that can estimate data transfer rates:
http://www.calctool.org/CALC/prof/computing/transfer_time

Based on 8Mbit/s, 1GB data would take: 16 Minutes
Based on 10Mbits/s, 1GB would take: 12.7 Minutes

These would be the least amount of time. If other programs are using upload bandwith, the upload rate would be slower then 8-10Mbit/s.

Can you post a screenshot of the backup screen showing the upload data transfer rate in Acronis?

Are you sure your upload data rate is 8-10Mbits/sec? For example, Time Warner standard Road Runner is 15Mbit/s download and 1Mbit/s upload.

At 1Mbit/s upload rate, 1GB of data would take 2 hours and 7 minutes minimum.

In your example, 40 GB taking 7 days calculates to an upload speed of 512Kbit/s.
1GB at 512Kbits/s would give you an estimated time of 4.24 hours.